Notorious for their cheap flights and heavy fees Ryanair are closing the Visa Electron loophole that meant you could avoid paying out for card fees when you booked a 'bargain' getaway. But you do have another option.
As of the first of January 2010 you'll no longer be able to get out of paying Ryanair's card charge by using Visa Electron to pay. This will add another £5 per person each way to the cost of your 'cheap' flight and with the host of other fees the budget airline sees fit to levy, the extra costs soon add up.
If, for example, you wanted to book return flights for a family of 4 travelling together, even if you booked these in a single transaction using the same card you would still be stung with a card booking fee of £40!
Why are they doing this?
The airline have argued that they've made this decision not as a means of generating extra revenue but instead because Visa Electrons are being phased out across the UK (whether you believe them or not is, I think, beside the point).
This move is not only going to be incredibly frustrating for all of those who took out a Visa Electron specifically to get around paying for this card charge but also means an end to card charge free booking on Ryanair flights.
That said, you do have another option and while this will cost you a little, it's less than what you would pay if you were to just use your usual credit or debit card.
What's the solution?
The solution is, for those who travel frequently enough to make it worth their while, a MasterCard prepaid card.
While Ryanair did previously charge the £5 levy on bookings made with cards of this type, they've now waived this for the foreseeable future so as to ease the news of their Visa Electron cut off.
Needless to say Ryanair have plans to launch their own prepaid card in the near future. However, there are plenty of other options available to you right now although you will need to be careful which you pick.
Which card should I go for?
When it comes to prepaid cards (MasterCard or otherwise) you'll invariably end up paying for your purchases somehow whether it's through transaction or load fees or a monthly or annual subscription charge. The trick is knowing what to look out for and choosing the best option based on the way you plan to use the card.
For example, if you intend to take out a MasterCard prepaid card with the sole intention of using it to book Ryanair flights, you want to compare options that don't charge a subscription fee and instead make their money back when you make a transaction or credit them with funds. This way you'll only pay out when you actually make a purchase rather than simply for having a card in your wallet.
At the time of writing your best options are likely to be either the:
- FairFX Anywhere Card (Sterling):
The FairFX Anywhere card (Sterling) is free to purchase, doesn't apply anything in the way of renewal fees and it's free to top up by debit card. The only charge you'll incur if you use it to book Ryanair tickets is the £1.50 transaction fee levied when you make a booking.
- ice Travellers Cashcard Sterling:
If you plan to use the card for making Ryanair bookings only (and aren't planning to use it to withdraw cash or spend abroad) the only cost you'll incur with the ice Travellers Cashcard Sterling is the 2% fee levied when you top up the card. You'll need to load it with a minimum of £100 using your debit card.
- Caxton Global Traveller:
Again, if you plan to use your MasterCard prepaid card for Ryanair bookings alone then the Caxton Global Traveller card is an option worth considering. There are no load or subscription fees applied, however a £1.50 fee will be applied to each transaction you make. However, unlike the Ryanair levy this is a flat £1.50 regardless of the amount you spend.
Remember that it's important to compare all of the fees and terms and conditions that govern the cards before you apply.
Finally, if you plan to use your prepaid card for more general spending then it's worth comparing all of the prepaid Mastercards on the market so that you make sure you're getting the best deal possible and don't pay a penny more than you need to.
